In its latest report on Apple, Merrill Lynch weighs in on today’s headlines regarding a possible iTunes video store and rumors that Apple might use Intel chips. Also in the report, as noted by MacNN, “Store managers told [Merrill Lynch Analyst Steven Milunovich] that PC users are reluctant to make the switch to Mac and are opting for low cost PCs, such as Gateway’s eMachines. Some store associates said they are at a disadvantage with Macs because Best Buys don’t carry software for Apple, according to the research report. However, the firm says that ‘Mac mini sales appear solid at Apple stores.’ Merrill Lynch reiterated a ‘Buy’ rating with a price target of $51 per share.”

Full article, including the analyst’s information regarding a possible video iPod and iTunes video store here.

MacDailyNews Take: Just imagine: Fred and Harriet traipse on over to the local Best Buy and come this close to having Mac OS X and instead schlep away a pile of Gateway eMachine running Windows. “Gee, Harriet, I don’t see any boxes of software for this Apple thingy. Let’s get another Gateway like the nice Best Buy Boy says. It’s in a bigger box.” It’s enough to make you laugh — or cry — depending on your point of view.

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90 Comments

MDN
Actually, if the Mac Mini has been on the shelves that long it probably doesn’t have all those features–probably running Panther. It seems to happen quite often that resellers such as Compusa or Best Buy sell machines that do not have the software—and Apple will only sell you the upgrade in this case, or you need to haggle witht he reseller.

Oh please, I visited a couple of the local Best Buy store that carry the Mac Mini. They’re completely hidden away in a corner of the computer area. The employees couldn’t find their butt with both hands they’re so incompetant.

No wonder they’re not selling well. Maybe if you have Steve’s “Store within a Store” idea with Apple Retail Store Employees manning the mac (and iPod) section you could see the sales go up.

No shit. I was at Best Buy the other day eying a Mini…. the retard working the computers that day came up to me and said “ewe…a mac?”…I swear to God… good sales tactic…. I took it upon myself to educate the man in matters if computing security and productivity.
Needless to say, they had the Dock as big as it could be…with magnification full blast…and it was running 10.3.8… the uptime was probably 4 months.

MDN’s analysis misses the point (unlike the original article, which Got It). It doesn’t matter what Fred and Harriet thinks. If there’s no Mac software there, then the sales associate won’t try to sell it. And Apple has its own AppleCare program, so Best Buy and the salesman can’t make their nut on the extended warranty, which as you probably know is where Best Buy and their people make most of their profits, not on the box.

Why would you buy a Mac Mini from Best Buy when the 18 yr old salesperson doesn’t have a clue about what they are selling? If I were going to buy a Mac, I would either buy directly from the Apple Store (where they do know what they are selling) or buy from the Apple Online Store (because its convenient and I might get a deal on a refurbished unit).

Where I live, the Best Buy is only about 500 ft away from the Apple Store, so even if I found it at the Best Buy, I would travel the extra 500 feet to get the better service from the Apple Store.

I was at one of the original Best Buys in Minnesota, is was not easily found, it did have Tiger running, sadly with only 256 ram, itunes quit on me, so I took it upon myself to run ‘Repair Permissions’ and left after I hit restart. The sales guy did have a less than warm response to my playing with the mini, some retraining is overdue. With it not even being online, Dashboard was useless.
MW ‘trying’ BB is not trying very hard at all.

It’s no wonder. Best Buy apparently are idiots. They just opened their first store in Montreal, Quebec last week and what do you suppose? For their Grand Opening, they put up all English language signage, a circumstance which is not only totally illegal under penalty of prosecution and enforcement, but also just about the worst slap in the face that a business can do to the ninety percent of the Quebec populace who speak French as their first language. Furthermore, with the exception of the Mac mini, the few other Macs that Best Buy offers for sale in Canada appear to primarily be older models with very little discounting, to boot. Check the site for yourself. Best Buy Canada. pfffttt.

When I saw the lonely Mac Mini at my nearest best buy,I wanted to make it look nice,because it was at 1024×768 on a 17in flat panel.I also changed the background.No one cared,and to be honest,I was dissapointed that no one even glared at it.It wasn’t stuck in a corner,more in the front of the section.Still,people probably thought it was a modem or something.They really need to sell mac software,because when I get my iMac G5 from the apple store,I’m definately buying some piece of software for it.

Last time I was at Best Buy, I stopped by the computer section to see the Mini on display. The display was running, but no cool screensaver or anything inviting or interesting, so I decided to remedy by choosing a screensaver. A salesman noticed me and said – “you look like a Mac guy, maybe you can tell me how to get Access the CD on this thing” – then he proceeded to try to pry open the top of the Mini. He could just not conceive of something without a CD tray! When I showed him how to insert and eject a CD, he was bowled over. If apple is serious about selling through these meatheads, they should enlist the help of local user groups to hang out and advocate for macs in these stores and give them some token monetary support for doing so. It’s no wonder at all that they don’t sell any.

Best Buy is a crappy place to buy ANYTHING. Particularly something nuanced and elegant like a Mac Mini. They make their money like Wal-Mart. I have always wondered why the heck Apple ever thought they would be a good reseller. They aren’t good at promoting ANYTHING that people don’t already want. Sheesh. If I wanted to buy something that I could get anywhere, I might go to Best Buy. If I want to buy something that works, and has people that support it, I WILL NOT GO TO A BIG BOX STORE PERIOD.

“With it not even being online, Dashboard was useles”
May be Apple should ship Mac mini with Airport card as standard. Wouldn’t it be fun to watch BB sales person turns on Mac mini for first time and is greeted by a dialog box asking if he/she wants to connect to the network (assuming BB has wireless running in store).

Also, Apple should have “Demo” mode, which repairs the permissions everynight (I know Apple discourage use of “mode,” but Apple should make exception).

Ted_O: “the Mac Mini is not a very good value”
I don’t think Mac mini was meant to be a very good value. It was designed to attract PC owners, not Apple owners. If you are an experienced Mac user, you realize quickly eMac and iMac are better value. However, PC owners who only looks at the spec sheet (i.e., MHz) and price, Mac mini looks good.

The Best buy in my area (Pembroke Pines, FL) has a mini on display. They had it running a DVD (The Matrix of course), and not much else. None of the people there had a clue what to do with it, it was only set up with one account and practically no demo material.
I set up a demo account, dragged the Office icons to the dock, launched Garageband and set up a quick funky demo. When I was done I walked over to the video section to buy my weeks supply of fresh DVD goodness.
I figured I would stop back over to see if anyone there had noticed the changes I made and lo and behold almost ALL of the computer guys were gathered around playing with GB.
I told them I had set it up and they admitted that they had received no training and that there was no Apple rep that visited Best Buy stores.
How does anyone expect theses things to sell in that kind of environment?

When I was at a Best Buy here in Cincinnati the associate said he had sold no mac mini’s and then stated that they were not as good as a PC. I just laughed and proceeded to load an iPhoto slide show to really show the shoppers what it was capable of doing.

Oh, he also said there was not a marketing niche for it, so I guess that is why they are not moving. I could not believe it. Have you ever heard of iLife and digital entertainment. They are selling thousands of digital cameras everyday and now they have the best computers and software to offer. Best Buy really needs to educate their teenage dolts…. who are of course not on commission.